Tradition!

[pmbug]

Posting for reference for those who haven't seen it (because I reference it all the time):



Tradition!

 

[KMS]

Tradition!

 

[Unobtanium]

Bernanke was almost stuttering on some of his answers. Quite funny.

 

[white&yellow999]

Well at least Bernanke was right about something, it IS a precious metal! LOL Oldie but goodie!!

 

[pmbug]

...
During the cold war, West Germany followed a policy of storing its gold as far west as possible in case of a Soviet invasion. While that worry is gone, there is still an argument for keeping some gold in financial centers like New York and London. It remains the one currency that is accepted everywhere. ...

http://www.nytimes.com/2013/01/17/b...al-bank-to-repatriate-gold-reserves.html?_r=0

 

[pmbug]

More comedy gold from the Bernank:

 

[pmbug]

* bump *

Was reading this blog post about Bernanke and reminiscing ...

https://moneymaven.io/mishtalk/econ...-a-fool-out-of-himself-CfuS9o6W3Ua1tilMo-rd3Q

 

[rblong2us]

NYT said:
During the cold war, West Germany followed a policy of storing its gold as far west as possible in case of a Soviet invasion. While that worry is gone, there is still an argument for keeping some gold in financial centers like New York and London. It remains the one currency that is accepted everywhere. ...

how times change eh ?
I reckon I would put my gold in Moscow rather than Berlin, New York or London

 

[searcher]

gold in Moscow

Interesting article with lots of neat pics.

Where is the Russian Federation’s Gold Stored?

Despite a few vault photos ops, there is little verifiable information on where Russia stores its vast gold hoard.

www.bullionstar.com

 

[rblong2us]

Heh
that was my opinion 3 days before Russia kicked off its Special Military Operation in Ukraine
And subsequently amplified by everything I am aware of that has happened since.

The 'west' appears to be in decline and desperate to take down the perceived threats to its belief in its US hegemony.
Russia seems to offer a future based on family values and fairness in regard to trade with other countries.

They switched on the 'hate Putin' and switched off the 'fear Rona get your jab' literally overnight.

 

[pmbug]

* bump *

Saw this referenced on X/Twitter (from Nov 2020):

...
Almost five decades after the collapse of the Bretton Woods system, gold continues to form an important share of global foreign exchange reserves. This may be because gold has traditionally offered reserve managers many benefits, such as the absence of default risk. ...

What share for gold? On the interaction of gold and foreign exchange reserve returns

Almost five decades after the collapse of the Bretton Woods system, gold continues to form an important share of global foreign exchange reserves. This may be because gold has traditionally offered reserve managers many benefits, such as the absence of default risk. This paper explores whether...

www.bis.org

Yeah, the bold emphasis is mine...

 

[Peter89]

@pmbug!
given that I've no idea how hashtags works... are you asking:

... to reply to your post a) quoting a post mentioning Central Banks + Gold and b) using in the reply-text "#tradition"?

... or to reply to any post mentioning Central Banks + Gold, using "#tradition"?

 

[pmbug]

... are you asking:

... to reply to your post a) quoting a post mentioning Central Banks + Gold and b) using in the reply-text "#tradition"?

... or to reply to any post mentioning Central Banks + Gold, using "#tradition"?

Yes.

X tracks the number of times a hashtag is posted (anywhere). When a hashtag gets posted a lot (within a window of time), it can appear on the "trending topics" list. Even when not on the trending topics list, people can search for a hashtag to find posts where it has been used. So posting it everywhere it's appropriate helps people find that related content (once they become aware that the hashtag is being used for that purpose). Posting it as a reply to my original post is always welcome too - you can do both for extra effect.

 

[WinkWink]

 

[pmbug]

Federal Reserver Chair Jerome Powell at The New York Times DealBook Summit on Dec. 4.

While cryptocurrency fans like to float Bitcoin as a possible replacement for the U.S. dollar, Federal Reserve Chair Jerome Powell doesn’t quite see it that way.

Speaking at The New York Times (NYT) DealBook Summit in Manhattan Wednesday, the central banker said Bitcoin is a speculative asset like gold, rather than something comparable to a currency.

“It’s just like gold only it’s virtual,” Powell said. “People are not using it as a form of payment, or as a store of value. It’s highly volatile. It’s not a competitor for the dollar, it’s really a competitor for gold.”
...

https://www.msn.com/en-us/money/mar...llar-fed-chair-jerome-powell-says/ar-AA1vhvM0

Powell trying to echo Bernanke on gold being a "speculative asset". Lololol. Why do central banks own gold? Tradition!

 

[pmbug]

Tucker asks Treasury Secretary Bessent about gold (start ~49:22):

Why Gold Is So Critical Right Now

49:25 Why is gold moving around the world in such huge quantities right now? Well, a couple of things.
49:31 It's moving. Physically, it's moving because
49:36 of potential tariffs here. It was unclear whether we were
49:43 going to exempt gold from tariffs, which I believe we have. So there was a big move out
49:49 of vaults in Switzerland, out of Vaults in London, to get it into.
49:55 And look at that. There are a lot of different stores of value over time.
50:02 Bitcoin is becoming a store of value. Gold has historically been a store a
50:07 value. I think what's interesting is where do we see the gold demand coming from?
50:14 A huge amount is from China, where, as I said, they're in the middle of an economic recession slash
50:20 depression. People don't trust the Chinese currency. because they have capital controls.
50:27 There are 1.4 billion Chinese who all want to get their money out and they
50:34 won't let them. They will let them buy gold. So that's the response you think,
50:40 but it's just, do you find it interesting that even now, 2025, when everything is abstract
50:45 and digital, that gold is still widely believed globally to be a reliable store of value?
50:53 I think that gold has a
50:58 lot of history going with it. friend of mine's grandmother during
51:04 russia had a financial crisis in ninety eight then they had a big inflation and friend of mines
51:09 grandmother went out and bought eighteen bicycles and put him in her apartment and that was her store of value yes so
51:15 how did she do on the bike investment great great i i wish i did that well so
51:20 but Gold also has
51:26 other applications, a lot of applications, jewelry in India, but it's something
51:32 that historically people have all agreed on, and gold does not have,
51:38 gold can't have a fiscal problem. Gold cannot have a gigantic budget deficit.
51:45 Gold cannot have the, a.
51:51 a war, so just the fact that it is this isolated thing
51:57 makes it very interesting, and the fact the entire global trading system
52:03 until Richard Nixon took us off was tied to gold. So you're not anti-gold.
52:09 Oh no, no, when I had my fun, I think people might've called me a gold bug.

#tradition!